Students lead cryptocurrency use in Africa

African virtual currency users are currently most likely to be male, under 30-years-old and a graduate, or studying towards a tertiary qualification.

This is according to report from global peer-to-peer cryptocurrency marketplace Paxful, which accepts more than R500-million per month from African consumer.

Half of these customers are under 30 years of age; 70% have a tertiary qualification or are studying towards a post-secondary school qualification; and there is a 65% male, 35% female split. Cryptocurrencies are purchased primarily by bank transfers and gift cards.

Paxful also notes that Africa’s relationship with cryptocurrency technology lies in use. Where millions of people still do not have convenient access to the traditional banking system,

The company is seeing more transactions involving the transfer of goods, services and money facilitated through its platform in Africa.

For entrepreneurs, crypto-powered merchant accounts have also eased their operational and exporting capabilities.

“We are on the verge of the peer-to-peer financial revolution and it is being led by Africa,” says Ray Youssef, co-founder and CEO of Paxful.

“When it comes to innovation in financial services, in many ways, Africa has an advantage over the so called ‘developed markets’; the continent has an expanding middle-class that has already embraced innovation in banking – for example, the rates of mobile banking users are already high here in comparison to other parts of the world.

“Bitcoin, Ethereum and other virtual currencies are just newer financial services instruments. Paxful’s growth on the continent reflects the tremendous appetite for innovation in Africa.”